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In today’s rapidly evolving digital landscape, app retargeting remains one of the most effective and cost-efficient strategies for app marketers seeking high conversion rates.

App retargeting (RT) is a technique used to encourage active users to complete a different action on the app or re-engage lapsed app users who have previously interacted with the app or the brand’s advertisements but have not yet converted. This popular advertising strategy focuses on high-intent users who are more likely to convert.

Curious about the benefits of strategically retargeting your users? Or seeking best practices to maximize user retention through app retargeting? Read on to learn more.

What are the Benefits of Strategically Retargeting the Users?

It is well known within the industry that existing users are of higher value than new users as they are easier to convert due to their existing interest in the brand. Different goals can be achieved through app retargeting campaigns, ranging from informing the brand’s lapsed or dormant users about a new product offering or update to nudging the brand’s active users to make in-app purchases or simply reminding the users of the items left in their cart. App retargeting has several benefits, which include:

Improved ROI with Greater Conversions:

The return on investment is high as retargeting brands can target high-intent users who have previously shown interest in the brand. This enables the brands to introduce new product/service offerings to the users smoothly and inform them about offers or discounts on the app that would drive them to make in-app purchases. 

This ultimately increases conversions, as by retargeting lapsed, inactive, or dormant users who may have interacted with the app previously, brands are better placed to convert their existing users, who could take actions such as signing up for a new service offering, making an in-app purchase, etc. 

Building Long-Lasting Customer Relationships:

Using app retargeting, app marketers can create personalized user experiences for their users that could include targeted ads, personalized messages, etc. This could also involve informing the app users about updates, deals, and seasonal discounts based on the user’s preferences. For instance, an e-commerce app targets customers searching for specific clothing items that are in their wishlist or cart, and they send them personalized ads about discounts on these items. This would help the brands increase customer interaction and user engagement within the app.

Consistently re-engaging with the brand’s users could result in increased LTV (Lifetime Value) of the customers through targeted ads. Additionally, informing them about new offers and discounts through personalized messages can contribute to building a loyal customer base. 

Effective Best Practices to Maximize User Retention:

Here are a few effective practices you can implement in your next app retargeting campaign to maximize user retention and increase user engagement –

Use Contextual Retargeting:

The process of contextual retargeting emphasizes delivering ads to the app users based on the specific topic of interest based on the content that the user has previously interacted with. This way of retargeting allows app marketers to catch the attention of the users by delivering ads of the product offerings that the consumer might be interested in. 

Always Aim for Personalization Through Segmentation:

Personalization is key, especially when it comes to conveying the right messaging that is added to your ads when talking about the product offering and building effective user experiences. A customized user experience for customers can result in effective retargeting 

The first step to personalizing these ads is to identify and segment your target audience based on the most useful parameters. These parameters could include geographic location, user behavior, interests, age, gender, etc. 

Optimize Campaign for Better Performance by Measuring:

Constant optimization of the campaign based on the real-time performance of the campaign can be very effective. This can involve updating the target users and ad formats and introducing day-parting, which means targeting a certain set of users based on different timings of the day. 

Focus on Your Creatives:

Creatives can include various ad formats such as videos, banners, native ads, interactive ads, and etc. Picking the most effective format for your users can be highly tricky but also very rewarding when correctly done. It is important to deliver ads that connect with your users to create maximum impact. 

Additionally, we recommend that you constantly review the performance of your campaign and the performance of the ad format you’ve chosen to make sure they are performing well or if they need to be updated to a different format. For instance, when it comes to gaming ads targeting users with interactive ads, it has proven to be highly impactful in delivering results.


How did PermataBank Successfully Gain New Loan Applicants with RevX Retargeting?


Key Highlights:

> 8,300 New loan applications

>50% Target audience reached monthly 

33% increase in approval rate


RevX partnered with PermataBank, a long-standing banking institution in Indonesia that serves nearly four million customers across 62 cities. In 2018, PermataBank introduced PermataMobile X, a user-friendly app that provides a range of banking services at customers’ fingertips.

PermataBank wanted to increase re-engagement among the bank’s existing customers, boost the number of loan applications through their mobile app, and offer a diverse set of credit offerings to their customers. 

This was achieved with the help of an integrated strategy that included Precision targeting, campaign optimization, and creative optimization – 

Precision targeting involved segmenting the ideal audience by identifying and engaging high-value app users with fast internet connections in Jakarta. It also involved effective geo-level targeting to optimize ad budgets and day-parting to enhance conversions. 

Campaign optimization involved constant optimization based on real-time performance, and these updates were regularly shared with PermataBank’s team.

Creative optimization uses various ad formats, including videos, banners, and native ads, to boost engagement and drive activity.

Learn more about this success story here

In Conclusion:

App retargeting remains one of the most effective ways of targeting users who have already interacted with your app. By adopting a few best practices, such as including contextual retargeting, focusing on personalization, segmenting users rightly, and optimizing campaigns based on the timing, users, and ad creative formats that work, you can build strong app retargeting campaigns with better performance.

To know more about app retargeting reach out to our team.


Hansika Sana

Marketing Manager, Content

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